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Unilin and Välinge reach final agreement over glueless dispute

On April 10th 2007 Unilin and Välinge have executed an agreement which puts an end to most worldwide litigation between the companies and creates a framework that allows easier access to the respective technologies for future licenses.

The agreement relates to glueless joining systems for hard flooring panels. This agreement puts an end to almost 25 legal cases over the validity and infringement on the respective patents in Belgium, France, Germany, the Netherlands, the U.K. and the U.S. Unilin and Välinge have also created a framework that allows for future licenses to cross license patents for respective glueless technologies. Both parties will be able to more aggressively develop and market glueless systems without patent disputes. This agreement ends years of conflict and enables the combined companies to strengthen and protect their patents. There remains certain exceptions to this agreement which have not been resolved. There may be continuing litigation with third parties to resolve these. Unilin is determined to continue the intensive enforcement of its patents against any remaining infringers in the market place, by creating significant liability for both the seller as for the buyer, according to Unilin.

Euparal/Unilin, April 2007

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Financial statement Karelia-Upofloor

In 2006 net sales of Karelia-Upofloor Group were up 4.7% and totalled Euro 122.7 million (2005: Euro 117.1 million). Growth in net sales came entirely from sales of wood floorings.

In 2006 net sales of the wood flooring business totalled Euro 94.3 million (Euro 87.0 million), up 8.1% on the year before. Growth was achieved in the company’s key export markets – Russia, the Baltics and Asia. Exports accounted for 72% with a total volume increase of 10.3% over the previous year. Busy renovation and new construction activity in Finland also maintained strong domestic demand and domestic sales accounted for 28% (30%) of net sales. Furthermore, about 80% of the wood floorings manufactured in 2006 were of the no-glue locking type.

Group operating profit for the period was Euro 8.2 million (Euro 10.2 million) and profit for the year was Euro 4.5 million (Euro 6.0 million). The result was weakened by considerable one-time expenses associated with the Group’s foreign production activity and the major growth trend in the prices of raw materials that started towards the end of the year, according to Karelia-Upofloor. The Group’s gross investment totalled Euro 20.5 million (Euro 9.4 million) or 16.7% (8.0%) of net sales. The bulk of the investments were made in the Russian and Romanian production plants.

Karelia-Upofloor/Euparal, April 2007.

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Farewell to London Floor Show

CMPi announce the closure of London Floor Show. “The show, which ran at Olympia 2, has had its critics, but has also enjoyed some success in its time,” according to CMPi.

Paul Sweeney, Event Director comments: “Our launch year in 2005 filled the ground level of the venue which was expanded to two floors in 2006, a fine achievement for the event, attracting 1268 visitors over 2 days. More importantly 76% of those visitors were unique to London and did not visit National Floor Show, which reinforced the reasons behind the initial launch of the event. As a result, we certainly felt that London Floor Show had something to offer the flooring trade. Understandably we are disappointed with the level of support from the industry for 2007. There were exhibitors who had a very successful time at the show and I had many positive comments from the exhibitors, so it is a shame that we have had to make this decision. There seems to be a lot of goodwill amongst the exhibitors for a successful show in London, but the event is not sustainable in its current format. Going forward, we are examining our options as to future events in London as there are some interested parties who have expressed an interest in working with us.”

CMPi/Euparal, March 2007.

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EPLF presents final 2006 sales figures

After EPLF sales figures based on the first three quarters of 2006 forecast a further global downturn in laminate flooring manufactured in Europe for the whole year, the final sales figures compiled by the EPLF indicate a slight increase.

“The overall results for 2006 are therefore better than expected, so that EPLF-affiliated manufacturers can be satisfied, in spite of the slump in the US market,” according to EPLF. The growth is due to increases in sales in Western and Eastern European markets in the fourth quarter of 2006, primarily in Germany. Worldwide in 2006, the 20 member companies of the EPLF achieved sales of 468 million m2 of laminate flooring manufactured within Europe (2005: 465 million m2). This represents an increase in global market sales of 0.7%. The market share held by EPLF member companies in the world market is estimated by the Association at around 60%.

	MeisterWerke’s new PDL-floor ‘Alanto’

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Further expansion European parquet market

The European Federation of the Parquet Industry FEP estimates that the volume of parquet sold on the European market in 2006 has again increased by 4 to 5 %, continuing the positive trend observed for several years already.

FEP: “It fuels the hope for the prolongation of the encouraging tendency through 2007, provided the construction business confirms its generally upward motion and parquet as product solidifies its strengthening position in a variety of market applications.” The Brussels based federation also says that it seems justified to state that the total parquet consumption in the EU and EFTA states is presently in the vicinity of 110 million m2, notwithstanding that the growth is not uniformly applicable to all markets. An important factor in the global rise of parquet consumption at European level was the improving economic climate and related upswing in the construction market in Germany, which comes after three consecutive years of decline.

“The increases in production capacity and the announcement of new investments in production facilities is a proof of the confidence of the sector in a positive future development. The lack of uniformity on a global plan certainly applies to parquet production, where multi-layer continues to claim the largest part of the cake. Solid and mosaic continue to experience problems mainly due to fierce pressure from competing markets, the strong euro and fluctuating tastes and preferences. The situation the producers are facing is additionally burdened by high transportation, energy and supplies’ costs, as well as important cost increases for their primary raw material wood – hardly an enviable challenge in these complex times, and necessitating measures to maintain future competitiveness and profitability,” according to FEP. A full and detailed statistical survey of the total European parquet market will be made available later this year.

Euparal/FEP, February 2007.

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EPLF presents sales figures for 2006

EPLF reports that sales in Germany and other European markets are rising, while sales of laminate flooring ‘made in Europe’ on the global market are actually falling. The US market recorded a fall of 20% in EPLF-sales.

This fall is due in part to the construction of production plants by various EPLF member companies in the US, whose sales figures are not included in the EPLF statistics. However, it is also the result of increased exports from China to the US. “Overall, therefore, the satisfaction felt by European manufacturers is somewhat limited,” according to EPLF. Worldwide in 2006, the 20 member companies of the EPLF achieved sales of 459 million m2 of laminate flooring manufactured within Europe (2005: 465 million m2). This represents a fall in global market sales of 1.2%. The market share held by EPLF member companies in the world market is estimated by the association at around 60%.

Small growth was recorded by the markets of both Western Europe and Eastern Europe during 2006. In Western Europe sales reached some 277 million m2 of laminate flooring (2005: 274 million m2), while the corresponding figure for Eastern Europe was 85 million m2 (2005: 82 million m2). This represents growth of 1% in Western Europe and 4% in Eastern Europe. The main sales markets in Western Europe are Germany, Great Britain, France and the Netherlands, while their counterparts in Eastern Europe are Poland, Romania and Russia, each of which recorded sales of over 10 million m2 of laminate flooring. The figures show that the markets of Western Europe remain the most important sales areas for EPLF member companies. With 92 million m2 (2005: 88 million m2), Germany again showed slight growth and remains the largest single European market (+4.5%). After recording a fall during the previous year, Great Britain stabilized its sales in 2006 at a level of 41 million m2 (2005: 41 million m2) to come second in the rankings of Western European markets. France recorded a slight fall with sales of 35 million m2 (2005: 37 million m2) and is in number 3 position (5.7%). The Dutch market maintained the levels of sales from the previous year at 20 million m2 and held on to position 4 in the rankings.

Euparal/EPLF, February 2007.

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Pfleiderer receives approval for Pergo acquisition

Pfleiderer Sweden AB, the Swedish subsidiary of the German Pfleiderer AG Group, has received the required formal authorization by three anti-trust bodies to complete the acquisition of Pergo AB.

The German anti-trust office, the US Federal Trade Commission and the Swedish competition authority (Konkurrensverket) have now formally authorized the acquisition of Pergo. Pfleiderer offers around 300 million Euro for the Swedish laminate flooring company. About six months ago woodworking company Pfleiderer announced plans “to buy a major laminate flooring producer” within the next 12 months. General manager Hans Overdiek said he wanted Pfleiderer to become a dominant force on the laminate markets of Europe and North America.

Euparal/Pfleiderer, February 2007.

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Unilin and Välinge enter into settlement

Unilin and Välinge announce that they have reached a heads of agreement on January 12th 2007 to settle all pending disputes and to enter into a cross-license agreement.

In a press release it is stated that “both Unilin and Välinge are broadly recognised to be the pioneers of glueless assembly systems for hard flooring panels which are materialised in the Välinge patents based upon WO 94/26999 and the Unilin patents based on BE 9600527 and BE 9700344.
In order to offer the market a more secure position in relation to both patent families, parties have after long and intensive negotiations, reached this understanding. Parties are creating a framework which will allow third parties to obtain a license under both companies patent rights through discussions with only one of the patent owners.” A more detailed memorandum will be issued later.

Euparal/Unilin/Välinge, January 2007.

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ITC issues General Exclusion Order

The United States International Trade Commission (ITC), issued a notice on January 5th 2007, that based on an investigation initiated in response to a complaint filed by Unilin against certain companies that import laminated flooring products into the United States, it has determined there has been shown to be a violation of Section 337 of the Tariff Act of 1930 based on the infringement of nine asserted claims of three Unilin patents.

The complaint was filed by Unilin in July 2005 against 32 companies from Canada, China, South Korea, Malaysia and the U.S. The complaint asserted that the respondents were importing laminated flooring products into the United States that infringed one or more of nine asserted claims from three U.S. patents protecting Unilin’s technology for glueless hard flooring panels, namely U.S. Patents 6,490,836 and 6,874,292 and 6,928,779. The ITC’s decision confirms the validity of all nine asserted claims from all three asserted U.S. Patents. Unilin: “The ITC’s decision thereby expands the scope of the initial determination by the Administrative Law Judge that had found a violation of Section 337 of the Tariff Act of 1930, as amended, and recommended the issuance of a General Exclusion Order based on the infringement of three asserted claims of Unilin ’836 patent.”

The ITC further announced that based on its finding of a violation of Section 337 that it has determined that the appropriate form of relief is to issue a General Exclusion Order prohibiting the entry into the United States of any unlicensed laminated floor panels covered by claims 1, 2, 10, 18 and 23 of the ’836 patent, claims 3 and 4 of the ’292 patent, and claims 5 and 7 of the ’779 patent. Unilin: “A general exclusion order has effect not only on the companies named in the suit, but applies to any company that seeks to import laminated floor panels into the U.S.” The ITC has further ordered that any laminated floor panels that would be covered by the General Exclusion Order which are imported into the U.S. during the next 60 days of the Presidential period of review, shall be subject to a bond of 100 percent of the entered value. The General Exclusion Order however does not apply to companies that are already involved in a dispute with Unilin in Wisconsin (USA), such as the Beaulieu International Group (including Berry Floor), Alloc, Välinge and Armstrong.

Euparal/ITC/Unilin, January 2007.

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Domotex 2007 and BAU 2007

Domotex, the world’s biggest trade show for carpets and floor coverings, is scheduled for 13 to 16 January 2007. BAU, Europe’s biggest building materials trade fair, with an expanded section dedicated to flooring, is taking place from 15 to 20 January 2007.

From 13 to 16 January 2007, Domotex Hannover will reassert its reputation as the world’s leading trade show for carpets and floor coverings, so the organizers Deutsche Messe claim. Exhibitors from some 60 countries will be heading to Hannover. Around 1,250 exhibitors are expected to take part. The net rented display space is estimated at 90,500 square meters, while attendance is forecast at around 45,000 trade visitors. Three quarters of the exhibitors come from outside Germany. Belgium leads the field (100 exhibitors occupying around 13,600 square meters of floor space), followed by Turkey and the Netherlands. The 60-strong list of countries embraces every continent. The list includes Russia and Egypt, the USA, Brazil, India and China. The program also includes Contractworld, the international forum for architecture and interior design, and the European Team Floor Laying Competition.

BAU 2007 will be taking up all the available space at the New Munich Trade Fair Centre -180,000 m2 in 16 exhibition halls. The fair will attract around 2,000 exhibitors from 40 countries. The exhibits at BAU 2007 are divided into products and themes. Energy-efficient building and renovations are themes that are picked up throughout the exhibition. Separate exhibition areas are also dedicated to new themes like solar architecture, urban design and lifts and escalators. The sections on façade technology, solar shading systems, timber construction and roofing materials, building chemistry and also floorings have all expanded significantly, according to the organizers.

Euparal/Domotex/BAU, January 2007.

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China imposes anti-dumping duties on overlay

	Composition of direct-pressure laminate floor (image: EPLF)

Chinese importers of wear resistant overlay will have to pay anti-dumping duties as of mid-December to offset damages caused by overlay producers in the United States and the European Union, according to Xinhua News Agency.

The move followed the final charge made by the Ministry of Commerce which said overlay exports from the United States and the European Union have constituted dumping and inflicted losses to local manufacturers. The anti-dumping duty tax rates were set from 4.1 to 42.8 percent. Wear resistant overlay is a critical component used for manufacturing laminate flooring. China started anti-dumping investigation on imported wear resistant overlay in June 2005.

Euparal/Xinhua, January 2007

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Karelia invests in Eastern Europe

Karelia-Upofloor Ltd has acquired the entire share capital of the Russian company OOO Focus Wood from Puncher Investment Limited. Focus Wood owns a new, almost completed parquet flooring facility in Maloyaroslavets, a town located in Kaluga Oblast, some 150 km southwest of Moscow.

Focus Woods is set to launch production of high-quality three-strip parquet flooring in the third quarter of 2007. This will require the completion of the construction of the facility and the installation and commissioning of the parquet factory production machinery and equipment. The machinery and equipment represent the latest in parquet production technologies, and most have already been ordered. Installation work will begin in February 2007. The aim is to reach an annual parquet production capacity of 2.5 million square metres by 2008. Investments will total EUR 45–50 million in 2006 to 2008. By the end of 2007 the number of employees in the company is anticipated to total 200 to 300 persons.

Last December, Karelia Corporation (renamed Karelia-Upofloor Oy on 31 December 2006) acquired the Romanian parquet flooring factory and sawmill Larodan. The factory is located in the town of Satulung, Transylvania, close to oak, ash and beech forests used as sources of timber for parquet production. Karelia Corporation has established a wholly-owned subsidiary in Romania – S.C. Karelia-Upofloor S.R.L. – which is set to launch production at the factory during 2007. Launch of production proper of parquet flooring will require considerable new investment and a complete refurbishment of the factory building and current machinery and equipment. The aim is to increase annual parquet production capacity to one million square metres in 2008. The company is anticipated to have 150 to 200 employees by the end of 2007. Including total investments, the parquet factory acquisitions are estimated to reach EUR 12–15 million over 2007 and 2008.

Euparal/Karelia Corporation/Karelia-Upofloor Oy, January 2007

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Pergo to receive EUR 325,000 in legal settlement

Pergo AB recently announced that it has successfully settled the arbitration case initiated by the bankrupt estate of Witex AG against Pergo Holding BV in June 2004.

The settlement also included any and all other outstanding disputes with Witex, according to a press release issued by Pergo. The settlement requires a cash payment of EUR 325,000 to Pergo, as well as the transfer of the www.pergo.pl and www.pergo.com.pl internet domains, which were registered by Witex, to Pergo. This settled arbitration related to a Share Purchase, Subscription and Partnership Agreement entered into between Pergo and Witex in 2000. In 2003, Pergo entered an agreement with HW Industries about acquiring Witex, but the acquisition was cancelled when Witex entered into bankruptcy later that same year, according to Pergo. Witex said in June 2004 it wanted to sue Pergo for damages of EUR 38 million “for a breach of its contractual obligations towards Witex and the improper release of a press release in May 2003.”

Euparal/Pergo, January 2007

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Germany: ‘price increases expected’

In Germany industry spokesman Ralph Plessmann recently sounded the alarm about unavoidable price increases of parquet and wooden flooring.

“I want to stress that our clients have to take into account that prices of parquet and wooden flooring will rise,” states Plessmann, president of the German industry association VDP. As causes, Plessmann mentions escalating prices for raw materials, but also higher prices for energy and labour. He is expecting price increases of 5 up to 8 per cent. “We can see no other possibility than to pass on these cost increases.”

VDP/Euparal, December 2006

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CE marking postponed until 2008

According to a letter by FEP (Federation of the European parquet industry) the coexistence phase of the DIN 14342 (Wood flooring, including veneer flooring) is extended up to March 1st, 2008.

Up till now March 1st, 2007 had to be regarded as introduction date of the CE marking, according to a newsitem on the German website www.boden-wand-decke.de.

Euparal/BWD, December 2006

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Update on Unilin’s IP cases

	Unilin Decor Wielsbeke (Belgium)

On the 31st of October 2006, Flooring Industries, the Intellectual Property Holding Co. of the Unilin Group, has granted a license agreement to the five companies within the Jilin Jinqiao Group.

The Jilin Jinqiao Group will be allowed to manufacture its engineered wood products with Unilin’s floating floor click system and sell these products worldwide. The Jilin Jinqiao Group consists of Jilin Jinqiao Wooden Product Co., Jilin Jinlin Wooden Product Co., Dalian Sanlin Wooden Co., SongLin Wooden Co. and Huilin Wooden Co. On November 16th, 2006, Anderson Hardwood Floors has concluded a worldwide license agreement with Flooring Industries. Anderson has chosen to use Unilin’s glueless Uniclic technology for the manufacturing and sales of its engineered and solid wood flooring. It will also be allowed to use the Uniclic trademark on these products. On July 1st, 2006 Estate Hardwood Floors of Canada and Flooring Industries reached an agreement on a second license for the production of laminate and engineered wood flooring incorporating Unilin’s glueless click technology. Estate Hardwood Floors and their joint venture partner BiYork, a Chinese flooring manufacturer located in Nan Xun, will begin production of both product lines in December 2006. The joint venture company will be known as Kultur International. Products produced in the Chinese facility will be branded under the Kultur International trade mark. End of November 2006, Flooring Industries announced that it had reached a settlement and a license agreement with Shanghai Dekorman Flooring Co. for the manufacture and worldwide sales of laminate flooring products with Unilin’s patented glueless technology. At the same time, Unilin announced the filing of a preliminary patent infringement action against Hansol Homedeco before the district court in Seoul, South Korea.

Unilin states that a similar lawsuit between Unilin and Hansol Homedeco in the US before the International Trade Commission (ITC), resulted in a decision on July 3, 2006 that the same Hansol products infringe the US 6.490.836 patent of Unilin, which contains claims that are equivalent with the now invoked Korean patent. Besides that, the ITC has (again) extended the final date for the completion of its investigation into Unilin’s patent infringement complaints against 32 defendants, mainly from China, until the 5th of January 2007. In an ‘Initial Determination’ dated July 3rd, administrative law judge Paul Luckern recommended that the ITC impose an ‘exclusion order’ on foreign and domestic laminate floors that infringe upon Unilin ‘snap’ patents US 6.490.836 and US 6.874.292, while invalidating Unilin’s 6.929.779 ‘click’ patent.

Euparal/Unilin/ITC, November 2006

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USA: wood flooring market past 3 billion dollar by 2010

	Pantagonian Pecan (photo: Exotic Collection by Anderson Hardwood Floors)

While home sales in the USA are expected to cool in 2006, the market supply for wood flooring is expected to remain ‘hot’ as remodeling and home improvement activity helps drive the market to over 2 billion dollar by year’s end.

And the latest market research from Specialists in Business Information (SBI), ‘Wood Flooring in the U.S.’, indicates that the market will continue growing at a compound annual rate of 7 per cent from 2006 to 2010, bringing the demand for wood flooring at the end of the decade to more than 3 billion dollar. SBI, a division of MarketResearch.com, projects that oak flooring will continue to dominate demand with more than 50 per cent of the U.S. market. Other hardwood flooring, such as maple, glued laminated truck trailer, and railroad car decking, recorded increases in 2005, and imports, particularly from Canada and China, increased by 34 per cent, partially due to consumers’ interest in woods other than oak. SBI expects sales of rustic, distressed, and exotic woods emerging from remote global locations will help fuel the fires of growth from 2007 onward as consumers look for unique woods distinguishable from traditional standbys. Much of the demand is coming from do-it-yourselfers whose numbers are increasing. “Hardwood floors are quickly becoming a ‘can-do’ remodeling project for everyday DIYers, thanks to manufacturers who have introduced engineered and prefinished floors which make installation easy and cost-effective,” notes Tatjana Meerman, Managing Editor of SBI. “At the same time manufacturers are responding to consumers’ demands to ‘be different’ through high drama wood floors that are distressed, brushed, and stained unique colors to create an old-world feel able to blend in with the décor of today’s modern home.”

Euparal/SBI, November 2006

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EBRD supports Barlinek in Ukraine move

The European Bank for Reconstruction and Development (EBRD) is providing a 38.9 million euro financing package to Barlinek Invest, a wholly owned subsidiary of Barlinek SA, the largest wooden floor board manufacturer in Poland.

The loan will be used to launch a greenfield production facility with an annual capacity of two million square metres of floor board in Vinnytsia, central Ukraine. Part of the loan will be syndicated to commercial banks. Barlinek Invest will be offering its products to the Russian and Ukrainian construction material markets, which are currently expanding by around 20 per cent a year. At present Russia and Ukraine are importing virtually all quality wooden flooring required for this fast-growing market. This project will help Barlinek Invest expand and strengthen its presence in Ukraine and Russia over the next three to four years, according to EBRD.

EBRD/Euparal, November 2006

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NAFCD changes association name

The National Association of Floor Covering Distributors (NAFCD) from Chicago (USA) recently voted to change the association’s name to be the North American Association of Floor Covering Distributors (NAFCD).

In recent years, several floor covering distribution companies from outside the United States joined the NAFCD as members, prompting the organization to change its name. The new name allows the inclusion of member companies from all North American countries, not just the United States. NAFCD will retain its logo and brand recognition. “Our industry is a global marketplace,” NAFCD President Christophe Freed said. “Our new connection with our colleagues from Canada and Mexico is exciting. I look forward to building new relationships with professionals I might not have been able to meet five years ago.”

Euparal/NAFCD, November 2006

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EPLF: ‘Price increase in laminate flooring’

Retail prices for laminate floorings are expected to increase by five to eight percent. The EPLF European Producers of Laminate Flooring has observed this shift for some time now both among and outside its membership.

The cause is due to the increasing cost of raw materials, which laminate flooring manufacturers have been forced to pass onto the trade, according to a press release by EPLF. In addition, the cost of MDF sheets, paper, resins and glues, as well as energy and transport costs, has also increased. Added to these is the cost of licensing agreements, which are now applied across the board, as well as Germany’s planned increase in VAT at the start of 2007.

Euparal/EPLF, October 2006

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Financial results Pergo

	Pergo Trelleborg

Pergo’s financial results for the third quarter show net sales of SEK 683 million (2005: SEK 769 million) and a net loss of SEK 47 million (2005: profit of SEK 18 million).

Tony Sturrus, President and CEO of Pergo AB, comments: “The disappointing third quarter results were largely affected by changes in the timing of planned product roll-outs and reductions in inventory levels by certain of our large North American retail customers. Our European operations continued to perform solidly and in line with Company expectations. The quarterly result is therefore a disappointing interruption in what has otherwise been a consistently improving sales and profitability trend.” Net sales for the first nine months of the year amounted to SEK 2,282 million (2005: SEK 2,199 million) and net income of SEK 24 million (2005: SEK 33 million). The Board of Directors has also provided earnings guidance for full year 2007 with year on year sales growth expected to be in line with, or to exceed, the projected 9-14% laminate flooring industry growth in North America and 2-4% growth in Europe.

Euparal/Pergo, October 2006

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China’s wooden flooring industry expanding

There were 3,000 wooden flooring enterprises in China in 2005. With one million employees in production, distribution and service activities.

According to Zhang Senlin, head of the China National Forest Products Industry Association, the output value of China’s wooden flooring was about 45 billion yuan (5.63 billion US dollar) or 292 million m2 in 2005, up 18% from 2004. Of this total, solid composite flooring accounted for 46 million m2 (up 40%), laminated flooring grew 190 million m2 (up 20%), bamboo flooring 6 million m2 (up 20%) and solid flooring 50 million m2 (down 30%). Mr Senlin expected China’s wooden flooring industry to develop rapidly in the next five years. The development goal of the industry is to achieve a production of 500 million m2 by 2010, 40% of which will be for the export market. China exported 38.4 million m2 of wood flooring in 2005, valued 400 million US dollar.

Euparal/Chinawood, October 2006

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Chinafloors partners up with Välinge

	Thomas Baert (photo: chinafloors.com)

Välinge Innovation AB has recently signed a license agreement in China with Chinafloors Timber Shanghai Ltd. The agreement covers glue free laminate flooring as well as wood flooring.

“We see the agreement with Chinafloors as a new important step in order to build up a strong licensee-base with the leading manufacturers in China,” says Darko Pervan, President and CEO of Välinge. Thomas Baert, President of Chinafloors states: “We are very excited about being one of the very few able to offer a licensed click from China on both laminate and wood flooring.” Also this month Chinese wood producers Jilin Newco Wood Industries Co. and Daedal Flooring Co. signed a worldwide licensing agreement with Välinge Innovation AB. The companies will now start the production and sales of glue free wood flooring using Välinge’s patented technology. Additionally, Välinge signed with the U.S.-based company BKR Building Products. The deal will initiate the production and sales of a pre-treated anti-moisture and anti-bacteria DPL laminate with a watertight backing utilizing the Välinge locking technology.

Euparal/Välinge, October 2006

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Unilin and Beaulieu settle German patent cases

Unilin and the Beaulieu International Group announce that they have reached an agreement to settle five German patent cases. The agreement settles two validity cases and three infringement cases involving German utility models DE 29710175 U and DE 29724428 U.

Furthermore, Flooring Industries, Unilin’s IP holding, recently concluded license agreements with Zhejiang Yongyu Bamboo Manufacture Co. Ltd. from China (engineered flooring and solid hardwood flooring), Fischer Parket Marka from Russia (engineered flooring), Morin Parquet S.A. from France (glueless engineered flooring products), Hunchun Yaxin Wood Industry Co. Ltd. from China (glueless engineered flooring products), Changzhou Otai Decorative Materials Ltd. from China (laminate flooring), Jiangsu Kelida Decoration Material Co. Ltd. from China (laminate flooring) and Changsha Lingge Wood from China (laminate flooring). On the 7th of July 2006, Flooring Industries and Tarkett AG have entered into a license agreement for the use of its glueless flooring system. This agreement settles Tarkett’s past sales of the so-called angle-angle products and allows Tarkett to manufacture and sell these specific flooring products under Flooring Industries’ world-wide patent rights.

Euparal/Unilin, July-October 2006